Government commits to a 5% increase in cost allowances starting in November says STE

The Government will implement a 5% increase in cost allowances for public administration starting in November, but has not agreed to higher salary increases for 2027. Rosa Sousa, president of the STE, confirmed this commitment after a meeting at the Ministry of Finance in Lisbon. The increase will be effective before negotiations on cost allowance revisions begin. The Government also presented a rescheduling of various matters related to the Multiannual Agreement for the Valorization of Public Administration Workers (2026-2029), with the review process for cost allowances set to start in January, earlier than initially planned.